Boss Energy enters earn-in deal with Eclipse Metals over NT uranium project
Make us a preferred source
Make us a preferred source on Google
The news: Uranium miner Boss Energy has entered into an agreement with ASX small cap Eclipse Metals over the development of Eclipse's Liverpool uranium project in the Northern Territory.
The numbers: Boss will commit $250,000 to fund exploration activities during a 12-month option period and intends to use the funds to complete mineral prospectivity mapping, target generation and validation of the existing targets.
Boss said that on exercising the option, it can earn an initial 49% interest in the project by spending $3 million within three years and a further 31% interest by spending $5 million within an additional four years.
Boss has a further option to buy an extra 10% interest in the project, taking its stake to 90%, for $50 million upon completion of the earn-in arrangement.
During the initial earn-in stage, Boss has a minimum commitment of $1.5 million in exploration expenditure before it can withdraw from the project.
The context: Boss said that previous exploration of the project's tenements has yielded several high-grade uranium assays in rock chips and the project is considered prospective for "unconformity-type" uranium mineralisation.
Once Boss has earned the initial 49% interest in the project, it will form an unincorporated joint venture with Eclipse to govern future exploration and development.
The source: ASX
